Bank of Åland Plc: Year-end Report for the period January–December 2018

“During 2018 we improved our net operating profit by 11 per cent to EUR 29.0 M, despite the negative end of the year in the stock and fixed income markets. The Board of Directors proposes an increased dividend of EUR 0.70 (0.65) per share.

“The net inflow of actively managed assets was strong in our Private Banking segment with a focus on Sweden, EUR 397 M, which I am very satisfied with.

“During the fourth quarter we chose to enter into another partnership − with the ﬁntech company Doconomy − in which we are together creating a globally unique customer platform that combines sustainability with financial services and saving.”

Peter Wiklöf, Managing Director

January – December 2018 compared to January – December 2017

Net operating profit increased by 11 per cent to EUR 29.0 M (26.0).

Profit for the period attributable to shareholders increased by 11 per cent to EUR 22.9 M (20.7).

1 Actively managed assets encompassed managed assets in the Group’s own mutual funds, as well as discretionary and advisory securities volume 2 Profit for the report period attributable to shareholders / Average shareholders´portion of equity capital. 3 Expenses / Income. 4 Impaiment losses on loan portfolio and other commitments / Receivables from the public at the beginning of the period5 Liquidity coverage ratio (LCR) = liquid assets, level 1 and 2 / 30-day net outflow 6 Receivables from the public / Deposits from the public 7 Receivables from the public / Deposits including certificates of deposit, index bonds and debentures issued to the public plus covered bonds issue8 Equity capital / Balance sheet total. 9 (Common equity Tier 1 capital / Capital requirement) x 8%. 10 Shareholders’ portion of earnings for the period / Average number of shares. 11 Shareholders’ portion of equity capital / Number of shares less own shares on closing day.

IFRS 9 has been applied starting on January 1, 2018. Figures from historical periods have not been restated.

The Bank of Åland (Ålandsbanken) follows the disclosure procedure stipulated in "Disclosure obligation of the issuer (7/2013)", published by the Finnish Financial Supervisory Authority and hereby publishes its Year-end Report for the period January – december 2018, which is enclosed with this stock exchange release. The Bank`s Year-end Report for the period January – december 2018 is attached to this release in PDF format and is also available on the company’s web site at